CRIB support for secure transactions

The Credit Information Bureau (CRIB) highlighted the importance of working together to establish secure transitions and a collateralized registry in Sri Lanka. CRIB Chairman Priyantha Fernando said the present credit flow of Rs 1.3 trillion will have to grow up to a range of Rs three trillion to Rs 3.5 trillion.

“This is where banks, finance companies, leasing companies and the CRIB will need to get-together,” Fernando said.

CRIB on average provides around 5,000 credit reports daily. The peak has marked 7,000 reports which indicate that our credit is picking up. Providing accurate and quick information plays a vital role.

As the country is expecting to double the per capita income within the next five years to US$ 4,000 there will be a huge challenge to support the growth of the income of the people.

The Credit Information Bureau data plays a critical role in an environment where the consumers have spread their financial wings, having multiple credit facilities with different lenders.

Fernando said studies have shown that access to finance, availability of credit information and promotions which educate public about credit information has ensured financial stability.

Dum and Bradstreet South Asia and Middle East, COO, V Narasimhan said as the credit bureau database matures, the Value Added Products and Services (VAPS) could open up the scope for lenders to use the bureau’s data more efficiently to evaluate new applications.

These data could also manage their existing customers for various aspects such as risk management to business growth.

The data in the Credit Bureau can be efficiently used by the lending industry to grow their business and reduce bad debts.

At present the CRIB maintains a database of three million. The crib members have now grown up to 90 consisting of banks, Registered Finance Companies (RFCs) and specialized leasing companies.